Global Drug Testing Market to Generate Revenue of $15.72 Billion by 2028 | Corporates are Adding Fuel to Drug Testing Market

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SkyQuest Technology Consulting Pvt. Ltd.SkyQuest Technology Consulting Pvt. Ltd.
SkyQuest Technology Consulting Pvt. Ltd.

Global drug testing market was valued at USD 5.30 Billion in 2021, and it is expected to reach a value of USD 15.72 Billion by 2028, at a CAGR of 16.8% over the forecast period (2022–2028).

Westford, USA, Sept. 29, 2022 (GLOBE NEWSWIRE) -- The growing demand for drug testing market is substantiated by statistic data. The World Health Organization (WHO) reports that illicit drug use is the world's most widespread problem and that more than 2% global adults aged 15-64 have used drugs at some time in their lives. The study also reveals that currently more than 270 million had used some kind of psychoactive drugs in last 12 months and over 35 million are seriously affected by consumption and are suffering various drug disorders. This trend continues to increase, as evidenced by a recent report from the National Institute on Drug Abuse which projects that by 2050, nearly 33% of adults will have used drugs at some point in their lives. And even though most people know someone who has overdosed or died as a result of using drugs, they may not really comprehend the full extent of the problem. Withdrawal symptoms can be debilitating, and addiction can lead to criminal behavior, financial instability, and other problems.

Fortunately, there are many organizations that are working to address this issue through drug testing market. Some of these services offer testing for both illegal and prescription drugs. Others offer tests for specific substances (e.g., marijuana, cocaine, etc.). Still others provide assessment and treatment services specifically designed to help people recover from drug abuse or addiction.

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Corporates are Adding Fuel to Drug Testing Market

There is no doubt that drug testing is becoming increasingly popular with companies and organizations. Recent reports suggest that drug tests are now being conducted on a regular basis by companies such as Amazon, Walmart, Ford, Pepsi, and Starbucks.  As per SkyQuest analysis, the top consumers of drug testing are law enforcement agencies and private employers. These organizations account for almost two-thirds of all drug testing spending. Other large categories include health care companies (27%), educational institutions (24%) and transportation companies (15%).

There are a number of businesses in the global drug testing market that use drug testing as part of their employment or recruitment process. The United States Drug Enforcement Administration (DEA) suggests that in order to maintain a safe and fair workplace, employers should test employees for drugs at least annually. This is especially important when it comes to substances such as marijuana and cocaine, which have increased in popularity in recent years. Some companies go beyond just drug testing to include alcohol and nicotine testing as well. Drug testing can be expensive, so some companies may choose to invest in these additional tests in order to guarantee the best possible workforce.

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The survey on drug testing market was conducted across 230 corporates offices across the US, the UK, Canada, Germany, and France. Employers were asked about their experience with urine tests for drugs other than marijuana, as well as experience with marijuana tests. Over half of those surveyed said they had conducted marijuana tests at some point, and more than one-third said they had done so in the last year. More than three-quarters of those who conduct marijuana tests believe they are effective in identifying illicit substances among employees.

Approximately 85% of companies in the US drug testing market use drug testing for health and safety reasons, according to the National Institute on Drug Abuse. This includes everything from checking for drugs in the workplace to detecting use at home. Testing can be done before hiring, during probationary periods, or as part of an ongoing evaluation process.

Amazon: The online retailer has long been known for its stringent drug testing policies. In 2017, Amazon announced that it would be conducting 250,000 random drug tests per year, up from the 10,000 that it had tested previously. Recently, the company published that it would immediately end pre-employment drug screening unless it is required by the government regulations and policies.

Walmart: The largest discount store in the world has also been known for its strict drug testing policies. In 2021, the company announced that it would be conducting million random drug tests per year. This has added fuel to the US drug testing market.

Ford: One of the leading automotive manufacturers in the world, Ford has announced plans to conduct 300,000 random drug tests per year starting in 2018.

Pepsi: The soda manufacturer recently announced plans to spend millions on screening programs over the next five years. This includes expansions into new markets such as China and India.

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SkyQuest Says, Less than 49% Large Organizations Perform Random Drug Testing

SkyQuest published a report on global drug testing market and included a survey on drug testing. The survey, which was fielded among 512 CIOs in North America, Europe, and Asia Pacific in late 2021, found that nearly half (49%) of organizations conduct random drug testing of employees, up from 42% in 2018. The key reasons for conducting such tests are to promote safety and to ensure compliance with applicable regulations or policies (58%). However, 37% of respondents said the primary reason was to identify employees who are using drugs and/or alcohol at an unacceptable level.

Organizations in the drug testing market that have already implemented effective drug-testing programs have reported significant benefits including an overall reduction in alcohol and drug use (up to 33%), improved safety behaviors (e.g., fewer accidents), increased employee productivity (33%), and enhanced brand image (28%).

Overall, however, implementation challenges in the global drug testing market continue to plague organizations that engage in drug testing. Nearly half (48%) of respondents said they face significant challenges in implementing their programs effectively. These include issues such as inadequate resources or personnel (44%), a shortage of accurate testing devices or substances (42%), labor union opposition or resistance to random testing (38%), and privacy concerns (36%).

Top Players in Global Drug Testing Market

  • LabCorp (US)

  • Quest Diagnostics (US)

  • Abbott Laboratories Inc. (US)

  • Thermo Fisher Scientific, Inc. (US)

  • Alfa Scientific Designs, Inc. (US)

  • OraSure Technologies, Inc. (US)

  • Siemens Healthineers (Germany)

  • Roche (Switzerland)

  • MPD Inc. (US)

  • Shimadzu (Japan)

  • LifeLoc Technologies (US)

  • Drägerwerk (Germany)

  • Premier Biotech, Inc. (US)

  • Omega Laboratories, Inc. (US)

  • Psychemedics (US)

  • Clinical Reference Laboratory (US)

  • American Bio Medica Corporation (US)

  • ACM Global Laboratories (US)

  • CareHealth America Corp (US)

  • Cordant Health Solutions (US)

  • Millennium Health (US)

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